So when is the tech bubble going to burst?
This year has been the one of the worst on record, with GDPs across the board plunging, not dipping.
Yet the tech mania seems to continue – the latest entrant being Ant Financial.
For those who lived through the Dotcom boom of 1999, and it’s subsequent bust in 2000, this sounds all too familiar.
“There is an app for that” has now replaced “there is a website for that.”
Valuations are based on turnover, not profitability. Investors reward how much you sell, not how efficiently you sell.
More and more money is pumped into these companies – they actually have a “burn rate”
How long can this continue? Will bootstrapping and going in for the long-haul (companies like Soho) triumph, or will companies with panache (but little else) keep rising?
